Income Tax Act 2007

Memorandum accounts - Imputation credit accounts (ICA)

OB 19: ICA transfer to master fund

You could also call this:

"Transferring money to a master fund and getting a tax credit"

You have an imputation credit when your company transfers expenditure to a master fund under sections DV 5 to DV 7. The amount is calculated by multiplying the expenditure transferred by the tax rate. The tax rate is the basic rate of income tax set out in schedule 1, part A, clause 2. You use the formula to work out the amount of the imputation credit. The expenditure transferred is the amount transferred to your company as a master fund under sections DV 5 to DV 7. The tax rate is found in schedule 1, part A, clause 2, which lists the basic tax rates. The imputation credit is listed in table O1, row 17, as a transfer to a master fund. The credit date is the last day of the tax year when the expenditure is deducted.

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This page was last updated on 29 January 2026 — View changes

Topics:

Money and consumer rights > Taxes

OB 18: ICA transfer from ASC account, or

"Transfer money from available subscribed capital to imputation credit account"

OB 19B: ICA transfer to loss-using group company, or

"Transfer of imputation credits to a company using another company's tax losses"

Part OMemorandum accounts
Imputation credit accounts (ICA)

OB 19ICA transfer to master fund

An ICA company that is a master fund has an imputation credit for the transfer of an amount of expenditure under sections DV 5 to DV 7 (which relate to the transfer of expenditure to master funds). The amount is calculated using the formula—
$expenditure transferred × tax rate.$

Where:
In the formula,—
expenditure transferred is the amount of expenditure transferred under sections DV 5 to DV 7 (which relate to the expenditure of investment funds) to the company as a master fund:
tax rate is the basic rate of income tax set out in schedule 1, part A, clause 2 (Basic tax rates: income tax, ESCT, RSCT, RWT, and attributed fringe benefits).

The imputation credit in subsection (1) is referred to in table O1: imputation credits, row 17 (transfer to master fund).
The credit date is the last day of the tax year corresponding to the income year in which the expenditure is deducted.

Compare

2004 No 35 s ME 4(1)(aab), (2)(aab)

Notes

Section OB 19(1): amended (with effect on 1 April 2008), on 6 October 2009, by section 387(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 19(2)(b): amended, on 1 April 2008, by section 562 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 19 list of defined terms basic rate: repealed, on 24 February 2016, by section 243 of the Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 (2016 No 1).